Micromax Announces 100 Percent Assembling Plant in India
BENAGLURU: The biggest Indian Smartphone manufacturer Micromax seems to be inspired by the PM Modi’s Make in India Initiative, as it has announced to manufacture all its handsets in India.
Micromax is the second highest Smartphone selling brand in the Indian market after Samsung has been a trend setter among the youth in the country. Initially, the company released its feature phones; subsequently it released smart phones under the budget category, which received massive response. Now the company plans to set a manufacturing unit in the country.
As confirmed by the company, one third of its products are manufactured in China and by the 2018 the company is planning 100 percent assembling in India. The company also mentioned that it is an initiative to curb the rising labor cost in china and to incline the local business contacts, which is likely to reduce the selling price its smart phones.
Relatively the Micromax recently announced it will invest 300 crores in India to establish a factory and reportedly, Foxconn announced a $5 billion investment in India. Further the company also announced interest to raise capital and fresh equity shortly.
Co-Founder, Chief Executive Officer and Executive Director of Micromax Informatics Rahul Sharma said "In the next 24 months 100% will be here. There was no ecosystem in India. Slowly, slowly we are attracting one," he told Reuters in an interview this week. "In terms of manpower, India is far cheaper (than China)." While speaking about funding he said "We are cash positive. We don't need it (funding)."